Thu, 25 Mar 2010
New Delhi (Earth Times) - Kuwait-based Zain Telecom said that it accepted a 10.7-billion-dollar bid by the Indian telecommunications company Bharti Airtel Ltd to acquire Zain's African operations.
The deal would see Bharti Airtel acquire Zain's assets spread across 15 African countries, the IANS news agency reported.
Zain Telecom's Africa arm, Zain Africa BV, said in a statement late Wednesday Bharti Airtel had completed the due diligence process for the acquisition and definitive agreements were expected to be finalized and signed within days.
Zain Telecom has an estimated 41.9 million customers in Africa.
The statement said the proposed sale did not include Zain's operation in Sudan or its investment in Morocco.
Bharti Airtel had announced Sunday that it had finalized funding worth 8.3 billion dollars with major international banks and the State Bank of India for its proposed acquisition.
The deal represents Bharti Airtel's third attempt to enter the African market. Merger talks with South Africa's MTN Group fell through on two occasions.
Bharti Airtel has operations in India and Sri Lanka. It had more than 118 million customers as of November.
SingTel, South-East Asia's largest telecommunications firm, has a 32-per-cent stake in Bharti.
Bharti Airtel shares rose by 3.35 per cent on the Bombay Stock Exchange soon after Zain confirmed the deal.
New Delhi (Earth Times) - Kuwait-based Zain Telecom said that it accepted a 10.7-billion-dollar bid by the Indian telecommunications company Bharti Airtel Ltd to acquire Zain's African operations.
The deal would see Bharti Airtel acquire Zain's assets spread across 15 African countries, the IANS news agency reported.
Zain Telecom's Africa arm, Zain Africa BV, said in a statement late Wednesday Bharti Airtel had completed the due diligence process for the acquisition and definitive agreements were expected to be finalized and signed within days.
Zain Telecom has an estimated 41.9 million customers in Africa.
The statement said the proposed sale did not include Zain's operation in Sudan or its investment in Morocco.
Bharti Airtel had announced Sunday that it had finalized funding worth 8.3 billion dollars with major international banks and the State Bank of India for its proposed acquisition.
The deal represents Bharti Airtel's third attempt to enter the African market. Merger talks with South Africa's MTN Group fell through on two occasions.
Bharti Airtel has operations in India and Sri Lanka. It had more than 118 million customers as of November.
SingTel, South-East Asia's largest telecommunications firm, has a 32-per-cent stake in Bharti.
Bharti Airtel shares rose by 3.35 per cent on the Bombay Stock Exchange soon after Zain confirmed the deal.
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